Introduced Version
House Joint Resolution 37 History
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Key: Green = existing Code. Red = new code to be enacted
HOUSE JOINT RESOLUTION NO. 37
(By Delegates Manchin, Boggs,
Caputo and Longstreth)
[Introduced March 25, 2013; referred to the Committee on
Constitutional Revision then Finance.]
Proposing an amendment to the Constitution of the State of West
Virginia, amending article X thereof, by adding thereto a new
section, designated section one-d, relating to authorizing the
Legislature to exempt certain property or a portion of its
value from ad valorem taxation; authorizing the Legislature to
exempt from ad valorem taxation certain tangible personal
property; authorizing the Legislature to reduce maximum levy
rates on certain tangible personal property as an alternative
to exempting such property from ad valorem property taxation;
authorizing the Legislature to exempt from ad valorem taxation
certain real property; requiring the Legislature to provide
for an additional general consumer sales tax at the rate of
one cent on the dollar of sales or services, excluding
gasoline and special fuel sales; prohibiting any impact on any excess levy in effect at the time an exemption or rate
reduction takes effect; authorizing the Legislature to phase
in an exemption or rate reduction over a period not to exceed
five years on property being taxed at the time an exemption or
rate reduction takes effect; numbering and designating such
proposed amendment; and providing a summarized statement of
the purpose of such proposed amendment.
Resolved by the Legislature of West Virginia, two thirds of
the members elected to each house agreeing thereto:
That the question of ratification or rejection of an amendment
to the Constitution of the State of West Virginia be submitted to
the voters of the state at the next general election to be held in
the year 2014, which proposed amendment is that article X thereof
be amended by adding thereto a new section, designated section
one-d, to read as follows:
ARTICLE X. TAXATION AND FINANCE.
§1d. Ad valorem taxation of tangible personal property directly
used in commercial and industrial businesses; increase in
exemption for certain real property used as a primary
residence or homestead
__________Subsection A- Increase in exemption for certain residential
real property used as a primary residence or homestead.
__________Notwithstanding any other provision of the Constitution, the Legislature may by law exempt the first thirty thousand dollars of
assessed valuation of any property, or of personal property in the
form of a mobile home, used exclusively for residential purposes
and occupied by the owner or one of the owners thereof as his or
her primary residence who is a citizen of this state and who is
sixty-five years of age or older or is permanently and totally
disabled as that term may be defined by the Legislature, subject to
requirements, limitations and conditions as shall be prescribed by
general law. Should the Legislature enact such an exemption, it
shall at the same time by general law provide for an additional
general consumer sales tax at the rate of one cent on the dollar of
sales or services, excluding gasoline and special fuel sales,
dedicated to offset any reduction in revenues to the counties or
state reduced or lost as a result of such exemption or rate
reduction. Any such exemption may not work to reduce any excess
levy in effect at the time such exemption takes effect, but only
for such time as such excess levy is in effect. Any exemption
under this section may be phased in by the Legislature by general
law over a period not to exceed five years for real property being
taxed as of the time such exemption takes effect.
__________Subsection B - Ad valorem taxation of tangible personal
property directly used in commercial and industrial businesses
__________Any other provision of this Constitution notwithstanding, the
Legislature may by general law exempt tangible personal property directly used in commercial and industrial businesses, or such
components thereof as the Legislature in its discretion may by law
designate, from ad valorem property taxation. As an alternative to
exempting such tangible personal property from ad valorem property
taxation, the Legislature may by general law reduce the maximum
levy rates provided in section one of this article on such
property, or such types thereof as the Legislature may by law
designate. The Legislature may not either exempt or reduce the
rate on ad valorem property taxation on tangible personal property
under this subsection unless the Legislature has already increased
the homestead exemption pursuant to subsection (a) of this article.
Should the Legislature enact such an exemption or rate reduction,
it shall at the same time by general law provide for an additional
general consumer sales tax at the rate of one cent on the dollar of
sales or services, excluding gasoline and special fuel sales,
dedicated to offset any reduction in revenues to the counties or
state reduced or lost as a result of such exemption or rate
reduction. Any such exemption or rate reduction may not work to
reduce any excess levy in effect at the time such exemption or rate
reduction takes effect, but only for such time as such excess levy
is in effect. Any exemption or rate reduction under this section
may be phased in by the Legislature by general law over a period
not to exceed five years for tangible personal property being taxed
as of the time such exemption or rate reduction takes effect.
__________Resolved further, That in accordance with the provisions of
article eleven, chapter three of the Code of West Virginia, 1931,
as amended, such proposed amendment is hereby numbered "Amendment
No. 1" and designated as the "Homestead Exemption and Property Tax
Limitation Amendment of 2014," and the purpose of the proposed
amendment is summarized as follows: "To amend the State
Constitution to permit the Legislature to increase the homestead
exemption to $30,000 for certain citizens who are at least 65 years
of age or are permanently or totally disabled and to exempt or
reduce maximum levy rates on tangible personal property, or such
types thereof as the Legislature may designate, used directly in
commercial and industrial businesses, from ad valorem taxation and
to require the Legislature to impose an additional general consumer
sales tax at the rate of one cent on the dollar of sales or
services, excluding gasoline and special fuel sales, dedicated to
offset any revenue reduction caused by the exemption or reduction."
NOTE: The purpose of this resolution is to amend the State
Constitution to permit the Legislature to increase the homestead
exemption to $30,000 for certain citizens who are at least 65 years
of age or are permanently or totally disabled; to exempt or reduce
maximum levy rates on tangible personal property, or such types
thereof as the Legislature may designate, used directly in
commercial and industrial businesses, from ad valorem taxation; and
to require the Legislature to impose an additional general consumer
sales tax at the rate of one cent on the dollar of sales or
services, excluding gasoline and special fuel sales, dedicated to
offset any revenue reduction caused by the exemption or reduction.
This section is new; therefore, it has been completely
underscored.